Federal Direct Parent PLUS Loan General Information
View the Department of Education's Direct Loan Basics for Parents brochure
- Federal loan program for parents
- Loan is always in the parent's name
- Student must be enrolled at least half time
- Approval based upon credit check
- Interest starts accruing at the time of disbursement
- Begins 60 days after funds have been fully disbursed
- Can request that repayment be deferred while student is enrolled at least half time
- To defer payments, contact the Direct Loan Servicing Center at 1-800-848-0979
- Standard repayment is 10 years
Annual Maximum - Up to student's cost of attendance minus other financial aid
Interest Rate - Fixed rate of 7.21% for loans between July 1, 2014 and June 30, 2015. Fixed rate of 6.41% for loans between July 1, 2013 and June 30, 2014
- 4.292% is deducted from the loan proceeds for loans first disbursed after October 1, 2014 and before October 1, 2015. For example, on a $8,000 PLUS loan, $343 will be kept as a loan fee and therefore $7,657 will be credited to students account when it is disbursed to the school.
- 4.288% is deducted from the loan proceeds for loans first disbursed after December 1, 2013 and before October 1, 2014. For example, on a $8,000 PLUS loan, $343 will be kept as a loan fee and therefore $7,657 will be credited to students account when it is disbursed to the school.
Applying for a Direct Federal Parent PLUS Loan
- Student must complete the Free Application for Federal Student Aid (FAFSA) at www.fafsa.gov
- If the parent isn't listed on the student's FAFSA, we may request a copy of the student's birth certificate
- Complete the Parent PLUS Request process at studentloans.gov. You will need to login to this site by clicking the green "Sign In" button located in the Manage My Direct Loan box in the upper left of the page. Once logged in, select "Request PLUS Loan" on the left-hand side under the PLUS Loan Process bullet. Then select Parent PLUS as loan type.
- If you are approved, the funds will be disbursed directly to the school and credited to the student's Business Office account
- If the PLUS funds cause a credit to the student's account, you will be issued a refund check unless you have given Carroll permission to release the refund to the student
Denial of Direct Parent PLUS Loan
Student is eligible for additional Unsubsidized Stafford Loan funding ($4,000 for Freshman and Sophomore; $5,000 for Junior and above)